AT&T has agreed to buy Time Warner for more than $80 billion, a person briefed on the matter said on Saturday, a move that would create a new colossus in the worlds of media and telecommunications. The proposed transaction could be announced as soon as Saturday, barring last-minute changes, this person added.

Putting together AT&T, a sprawling video and internet empire that encompasses cellphone and cable service along with DirecTV, and Time Warner’s media holdings, which include HBO, CNN and the movie studio Warner Bros., would create a formidable new player and potentially spur even more deals. In recent weeks, the family that controls CBS and Viacom has urged the two companies to consider a merger. FULL REPORT